Bill Text: IL HB2071 | 2019-2020 | 101st General Assembly | Chaptered

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Bill Title: Reinserts the provisions of the introduced bill with the following changes. Provides that a participant establishing service credit and earnings credit for periods of furlough or salary reduction must be an active participant and must pay the specified employee contributions while he or she is an active participant and within 12 months after the date of application. Provides that to receive the service credit and earnings credit for periods of furlough, the participant must not receive compensation or any type of remuneration from the county (instead of compensation) for any furlough period and must provide a written certification from the county stating that the participant has not received compensation or any type of remuneration from the county for such furlough days. Provides that to receive the service credit and earnings credit for periods of salary reduction, the participant must not receive compensation or any type of remuneration from the county for any reduction in salary and must provide a written certification from the county stating that the participant has not received compensation or any type of remuneration from the county for such reduction in salary. Specifies that the employer's normal cost for the purposes of the provision shall be determined by the Fund's actuarial valuation for the year ending December 31, 2018. Provides that any payments received under the provisions shall be considered contributions made by the employee for the purposes of determining the annual tax levy and county contribution rate under the Cook County and Cook County Forest Preserve Articles. Makes other changes. Effective immediately.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Passed) 2019-06-07 - Public Act . . . . . . . . . 101-0011 [HB2071 Detail]

Download: Illinois-2019-HB2071-Chaptered.html

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Public Act 101-0011
HB2071 Enrolled LRB101 04625 RPS 49633 b
AN ACT concerning public employee benefits.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Illinois Pension Code is amended by adding
Section 9-179.4 as follows:
(40 ILCS 5/9-179.4 new)
Sec. 9-179.4. Service for periods of furlough or salary
reduction.
(a) An active participant may establish service credit and
earnings credit for periods of furlough beginning on or after
December 1, 2017 and ending on or before November 30, 2018. To
receive this credit, the participant must (i) apply in writing
to the Fund before December 31, 2019; (ii) not receive
compensation or any type of remuneration from the county for
any furlough period; (iii) make, on an after-tax basis,
employee contributions required under this Article based on his
or her salary during the periods of furlough, plus an amount
determined by the Board to be equal to the employer's normal
cost of the benefit, plus compounded interest at the
actuarially assumed rate from the date of furlough to the date
of payment; and (iv) pay the employee contributions required by
this Section while he or she is an active participant and
within 12 months after the date of application. The participant

shall provide, at the time of application, written
certification from the county stating (1) the total number of
furlough days the participant has been required to take and (2)
that the participant has not received compensation or any type
of remuneration from the county for such furlough days.
(b) An active participant may establish earnings credit for
periods of salary reduction beginning on or after December 1,
2017 and ending on or before November 30, 2018. To receive this
credit, the participant must: (i) apply in writing to the Fund
before December 31, 2019; (ii) not receive compensation or any
type of remuneration from the county for any reduction in
salary; (iii) make, on an after-tax basis, employee
contributions required under this Article based on the
reduction in salary, plus an amount determined by the Board to
be equal to the employer's normal cost of the benefit, plus
compounded interest at the actuarially assumed rate from the
date of reduction in salary to the date of payment; and (iv)
pay the employee contributions required by this Section while
he or she is an active participant and within 12 months after
the date of application. The participant shall provide, at the
time of application, written certification from the county
stating (1) the total reduction in salary for each pay period
with a reduction in salary and (2) that the participant has not
received compensation or any type of remuneration from the
county for such reduction in salary.
(c) For the purposes of this Section, the employer's normal

cost shall be determined by the Fund's actuarial valuation for
the year ending December 31, 2018. Any payments received under
this Section shall be considered contributions made by the
employee for the purposes of Sections 9-169 and 10-107 of this
Code.
Section 90. The State Mandates Act is amended by adding
Section 8.43 as follows:
(30 ILCS 805/8.43 new)
Sec. 8.43. Exempt mandate. Notwithstanding Sections 6 and 8
of this Act, no reimbursement by the State is required for the
implementation of any mandate created by this amendatory Act of
the 101st General Assembly.